LONDON (Alliance News) - Biotechnology company Bioquell PLC Tuesday raised its total dividend for 2013, as pretax profit declined, hit by higher oeprating expenses and sales costs.
Bioquell posted a total dividend of 3.3 pence, up from 3.06 pence in the previous year.
The company posted a pretax profit of GBP3.1 million, down from GBP4.0 million in the previous year, although revenue rose to GBP44.3 million from GBP41.0 million, as sales costs and operating expenses rose, and the company's gross profit margin dropped to 46% from 48%.
Bioquell reconfigured its Bio business during the year, which included laying off staff, leading to costs of GBP900,000. In the Life Sciences segment, which the Bio business is a part of, the company posted revenues of GBP22.7 million, up from GBP21.7 million, driven by demand for aseptic equipment and facilities.
In its Healthcare division, revenues were GBP3.5 million, up from GBP3.1 million, driven by increasing awareness of the need to handle 'superbugs' that are resistant to antibiotics. Defence revenues rose to GBP1.7 million from GBP1.0 million, boosted by growth in emerging markets, Bioquell said.
In its Testing, Regulatory and Compliance division, revenues rose to GBP3.4 million as it continued to expand its range of services.
The company noted that its Bio business had seen a slightly slower start to the year than it had expected, although enquiries for new products was encouraging.
Bioquell noted that it had started the year with a good Defence order book, and it expects to see higher Defence revenues in the second half from further orders during the year.
Shares in Bioquell dropped 6.7% to 131.00 pence Tuesday morning.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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